FxWirePro- GBPJPY Trade idea

The GBP/JPY  pared some of its gains on strong yen. It hits an  high  of 195.98 and is currently trading around 192.90. Intraday trend is bearish as long as resistance 195 holds.

Spurred by rising global tensions and the dovish policy bias of the Bank of Japan (BOJ), the Japanese yen is gaining in 2025 as a safe-haven currency. Since the BOJ had already raised its policy rate to 0.25% and had indicated further rate hikes to as much as a likely 0.5% in March 2025, as well as amid rising geopolitical tensions, investors are seeking refuge in the yen because of its stability in times of market volatility. This risk-off-supported rush for cover, with various central bank positions, reflects the growing popularity of the yen as a haven, particularly as investors hedge against some risks such as U.S.-China trade tensions and potential tariff wars.

The GBP/JPY pair is trading above 34 and 55 EMA (Short-term) and 200 EMA (long-term on the 4-hour chart, confirming a bullish trend.  Immediate resistance is at 194, a breach above this level targets 194/195/196. Downside support is at 192.40 with additional levels at 191.70/191/189.80/188.75/188/187.25/186/185.

Market Indicators

CCI (50)- Bearish

Directional movement index - bearish

 It is good to sell below 192 with SL around 193 for a TP of 190.